BorgWarner vs Supplier: Turbocharger Supply Chain Dispute

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The suit asserts claims for breach of contract and declaratory judgment, in which BorgWarner is asking to continue receiving parts from Modern Industries at the previously agreed-upon price.

Legal and Business Implications

“The implications of this disagreement between BorgWarner and Modern are significant, as Modern has already ceased shipments of parts to BorgWarner, the consequence of which will be a shutdown of BorgWarner’s production of turbocharger assemblies as well as a shutdown of BorgWarner’s customers’ production lines,” the complaint states.

Counsel for BorgWarner and a representative from Modern Industries did not immediately respond Monday to requests for comment. BorgWarner is represented by Alexandra J. Hirsch and Marc C. Tucker of Fox Rothschild LLP and Katherine L. Pullen and Ashley E. Racette of Warner Norcross + Judd LLP. Counsel information for the defendant wasn’t immediately available on Monday.

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